Indian onion exports face rising costs and competition

Indian onion exports face falling mandi prices but rising export costs as Karnataka’s new crop competes with ageing Maharashtra stocks and sharply higher UAE freight. New Kharif onions from Karnataka are entering the market, increasing availability and softening prices.

Exporters are dealing with higher costs for sorting, grading and packing, pushing effective costs beyond ₹50 per kg. At the same time, freight costs to the UAE have jumped from around US$900 to US$8,000–9,500 per container, adding to the challenges for Indian exporters.